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Is It Permissible to Wholesale Real Estate?

Answered as per Hanafi Fiqh by Seekersguidance.org

Answered by Shaykh Abdul-Rahim Reasat


Is it permissible to wholesale real estate? Wholesaling involves the buyer finding an undervalued real estate property for sale, putting it under contract for purchase, and then assigning the contract to another investor for a fee.


Yes, this means of wholesaling would be permissible to engage in. In essence you are facilitating the purchase of a piece of land for a fee. This is similar to the role estate agents play in selling houses, and because there are no impermissible elements that would render a sale problematic, it is permissible. [Maydani, Al-Lubab fi Sharh al-Kitab]

May Allah grant you the best of both worlds.

[Shaykh] Abdul-Rahim Reasat
Checked and Approved by Shaykh Faraz Rabbani

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